Gatlin, Inc is a dry wall (sheetrock) firm that has submitted a bid to Kalil Homes to do the dry wall work on the new Kalil subdivision of 280 homes. Kalil accepts Gatlin's bid and after 10 homes are completed substantially changes the specs on the

homes. Gatlin needs to charge more money in order to still earn a profit. Kalil maintains Gatlin is bound by the original contract price. Who is correct?


?Gatlin is correct. Price increases are proper when specs are changed.

Business

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